Item 5 – Fees and Compensation
The following paragraphs detail the fee structure and compensation methodology for services provided
by the Advisor. Each Client engaging the Advisor for services described herein shall be required to
enter into one or more written agreements with the Advisor.
A. Fees for Advisory Services
Wealth Management Services
The Advisor requires an upfront fee of $1,000 due upon execution of the wealth management
agreement, where wealth management fees for ongoing services will be payable quarterly, at the end of
each calendar quarter thereafter, pursuant to the terms of the wealth management agreement. Fees are
based on the market value of assets under management at the end of each calendar quarter.
Wealth management fees are based on the following schedule:
Assets Under Management ($) Annual Rate (%)
Up to $1,000,000* 1.20%
$1,000,001 to $2,000,000 1.00%
$2,000,001 and Over 0.75%
* Minimum annual fee of $4,000 payable in quarterly installments
PFA, in its sole discretion, may negotiate to charge a lesser management fee based upon certain criteria
(e.g., anticipated future earning capacity, anticipated future additional assets, dollar amount of assets to
be managed, related accounts, account composition, pre-existing Client, account retention, pro bono
activities, etc.). Certain existing Clients may have fee schedules that differ from the schedule above.
The wealth management fee in the first quarter of service is prorated from the inception date of the
account[s] to the end of the first quarter. Fees may be negotiable at the sole discretion of the Advisor. The
Client’s fees will take into consideration the aggregate assets under management with the Advisor. All
securities held in accounts managed by PFA will be independently valued by the Custodian. PFA will not
have the authority or responsibility to value portfolio securities.
The Advisor’s fee is exclusive of, and in addition to any applicable securities transaction and custody fees
and other related costs and expenses described in Item 5 C. below, which may be incurred by the Client.
However, the Advisor shall not receive any portion of these commissions, fees, and costs.
Personal Financial Advisors, LLC
100 Tyler Street, Number 6, Covington, LA 70433
Phone: (985) 898-0450 * Fax: (985) 635-4660
http://www.mypfa.com
Financial Planning and Consulting Services
PFA offers financial planning and consulting services as a stand-alone service for a fixed engagement
fee ranging from $2,000 to $10,000, depending on the scope and complexity of the services to be
provided and the experience of the individual of the person providing such services. Financial planning
and consulting fees are negotiable at the sole discretion of the Advisor. If the Client engages PFA for
additional services, PFA may offset all or a portion of these fees. Prior to engaging PFA to provide
financial planning services, the Client is required to enter into a written agreement with PFA setting
forth the terms and conditions of the engagement.
Use of Independent Managers
As noted in Item 4, the Advisor may implement all or a portion of a Client’s investment portfolio utilizing
one or more Independent Managers. To eliminate any conflict of interest, the Advisor does not earn any
compensation from an Independent Manager. The Advisor will only earn its investment advisory fee as
described above. Independent Managers typically do not offer any fee discounts but may have a
breakpoint schedule which will reduce the fee with an increased level of assets placed under management
with an Independent Manager. The terms of such fee arrangements are included in the Independent
Manager’s disclosure brochure and applicable contract[s] with the Independent Manager. The total
blended fee, including the Advisor’s fee and the Independent Manager’s fee, will not exceed 2.00%
annually.
Retirement Plan Advisory Services
Fees for retirement plan advisory services are charged an annual asset-based fee of up to 1.00%. Fees
may be negotiable depending on the size and complexity of the Plan.
B. Fee Billing
Wealth Management Services
The Advisor requires an upfront fee of $1,000 due upon execution of the wealth management
agreement, where fees for ongoing services will be payable at the end of each quarter thereafter. Asset-
based wealth management fees are calculated by the Advisor or its delegate and deducted from the
Client’s account[s] at the Custodian. The Advisor or its delegate shall send an invoice to the Custodian
indicating the amount of the fees to be deducted from the Client’s account[s] at the respective quarter-
end date. The amount due is calculated by applying the quarterly rate (annual rate divided by 4) to the
total assets under management with PFA at the end of the prior quarter. Clients will be provided with a
statement, at least quarterly, from the Custodian reflecting deduction of the wealth management fee. It
is the responsibility of the Client to verify the accuracy of these fees as listed on the Custodian’s
brokerage statement as the Custodian does not assume this responsibility. Clients provide written
authorization permitting advisory fees to be deducted by PFA and to be paid directly from their
accounts held by the Custodian as part of the wealth management agreement and separate account
forms provided by the Custodian.
Financial Planning and Consulting Services
Financial planning and consulting fees are payable quarterly, at the end of each calendar quarter,
pursuant to the terms of the financial planning and consulting agreement. The Advisor does not collect
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